STAND. COM. REP. NO.  795

Honolulu, Hawaii

                , 2009

RE:   H.B. No. 1372

Honorable Calvin K.Y. Say

Speaker, House of Representatives

Twenty-Fifth State Legislature

Regular Session of 2009

State of Hawaii

Sir:

     Your Committee on Finance, to which was referred H.B. No. 1372 entitled:

"A BILL FOR AN ACT RELATING TO THE TRANSITIONING OF THE REGIONS AND FACILITIES OF HAWAII HEALTH SYSTEMS CORPORATION,"

begs leave to report as follows:

     The purpose of this bill is to ensure the continuation of essential safety-net hospital and long-term care services statewide by, among other things:

     (1)  Authorizing an individual facility or regional system under the Hawaii Health Systems Corporation (HHSC) to transition into a new legal entity in any form;

     (2)  Requiring regional system boards and HHSC community hospitals to collaborate with community health centers to maximize funding from the state and federal governments for costs associated with things such as capital investments and expanded hours of services; and

     (3)  Exempting HHSC from the requirements of the State Procurement Code.

     The Hawaii Health Systems Corporation and Kona Community Hospital testified in opposition to this bill.  The Department of the Attorney General offered comments.

     As affirmed by the record of votes of the members of your Committee on Finance that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 1372 and recommends that it pass Third Reading.

Respectfully submitted on behalf of the members of the Committee on Finance,

____________________________

MARCUS R. OSHIRO, Chair